Cetin, David

Abstract [en]

How do smaller real estate companies act when it comes to decision-making on investments? How does this relate to the theory of decision-making? Are there any similarities/differences between different real estate companies when it comes to decision-making?

In this essay we study how decision-making on investments is done in the examined companies and if it is in agreement with the theory we have chosen as the basis of our work. Examination of various decision models and calculation methods has been made, for the comparison with our interviews, to get an as good as possible basis for our work.

Are the models or methods presented in the theory even used in reality or are other types of support preferred? Three different companies are used in our examination; two real estate companies and one rating agency.

In reality, the companies examined use more easy-used calculation methods than those which are presented in the theory. In our meaning, the examined companies’ knowledge about properties compensates the more simple use of method. In this way the results of the different methods will come closer to each other.